With most small-cap issues floundering and failing, it is a treat to see one of the stronger junior miners from north of the border demonstrating some fight.
On a day when the materials sector in Toronto shed nearly 10%, Toronto-based Canada Nickel Company Inc. (TSX-Venture:CNC) shook up markets Thursday afternoon with word of positive initial results from a mineralogical assessment of sample material from its Crawford Nickel-Cobalt Project.
The project, for the uninitiated, is located in northeastern Ontario near the city of Timmins, and 89% of the nickel in the Higher Grade Core of the resource is contained in nickel sulphide and nickel-iron alloy minerals. Canada Nickel also says 59% of the nickel in the Lower Grade Zones is contained in nickel sulphide and nickel-iron alloy minerals.
Moreover, both the higher and lower grade areas contain significant quantities of magnetite. In the Higher Grade Core, the magnetite content averaged 8.7% and in the Lower Grade Zones averaged 6.9%.
CEO Mark Selby commented, "We are excited with these results, which have exceeded the Company's expectations. These initial mineralogy results support our strategy to continue to aggressively advance Crawford and represent an important first step towards understanding what the ultimate nickel recoveries will be.”
CNC shares hiked five cents (a nickel?), or 11.9%, to head into the final hour of trading on Thursday at 47 cents, on volume of 44,000 shares.
